Last week was dominated by Wednesday’s FOMC statement, and the impact created a pretty lively market. Although this seems to be a “trend December”, we are running up to the holiday season now. Friday is a public holiday in every market of note except Japan, and pretty much all Forex brokers are closed anyway. Thursday…
The Dallas Fed published its international economic review this week, which contained the following graph of global economic growth: Since 2013, emerging, world and advanced economies’ GDP growth continued to move slightly lower. The only economy to gain GDP traction was the US. The report also contained a graph of global inflation: Here, all major…
The broad interpretative framework we developed since late 2014, one that centers the dy-synchronization of the major economies, will retain its usefulness into the New Year and beyond. The first phase of divergence was characterized by the Federal Reserve standing pat after winding down their open-ended asset purchase operations (QE3+) while many central banks from high income countries,…
EUR/USD: Expect the pair to see a reversal of its past week losses, EUR/USD remains bearish below 1.1059 zone, representing its Dec 15 2015 low. On the downside, support is located at the 1.0800 level and if violated, expect more weakness to occur towards the 1.0750 level. Further down, support lies at the 1.0700 level…
The difference between success and failure in Forex trading is very likely to depend upon which currency pairs you choose to trade each week, and not on the exact trading methods you might use to determine trade entries and exits. Each week I am going to analyze fundamentals, sentiment and technical positions in order to…
It’s the final stretch before the holidays. Here’s what to watch for in the following companies posting earnings this week: Micron Technology, Inc. (NASDAQ:MU), Nike Inc. (NYSE:NKE), and CalAmp Corp. (NASDAQ:CAMP). Micron Technology, Inc. is set to release its Q1/2016 earnings on Tuesday after market close. For this quarter, analysts expect non-GAAP revenues of $3.46 billion, compared to last quarter’s revenues of $3.99…
Perhaps in a recognition of the collapsing yield curve, and for sure in the face of the mainstream’s bullish narrative on US banks in a post-rate-hike paradigm, Citi has announced plans to cut at least 2,000 jobs starting next month. Despite exuberance over higher rates, it appears Citi’s CEO Michael Corbat wants to restructure some of the bank’s…
Fundamental Forecast for Yen:Neutral USD/JPY Technical Analysis: BoJ Causes, Yet The Range Holds USD/JPY Bullish Outlook Mired by Wait-and-See Bank of Japan (BoJ) Policy For Real-Time SSI Updates and Potential Trade Setups on the Japanese Yen, sign up for DailyFX on Demand Despite the 2015 Fed liftoff, USD/JPY stands at risk of facing range-bound prices in the week ahead…
The Fed’s policy announcement to raise rates had one technical detail that didn’t get much media attention but is actually quite important. The reverse repo (RRP) rate was not only raised from 5bp to 25bp but the Fed also removed the cap on the RRP facility (which was at $300bn). It means that the program…
Photo Credit: International Monetary Fund As I was reading today, I ran across a quotation from Stanley Fischer, Vice-Chairman of the Federal Reserve. It was from an interview on CNBC in April 2015. I went to get the original source, and here it is: Still, Fischer emphasized that a tightening would be slight. “We have…
